Breakout! Find the breakouts!
That would be a pretty lonely task these days. Only four stocks I follow are legitimately breaking out of their trading ranges right here, four out of a universe of thousands of stocks that I follow. In many ways, that's the truly depressing part of this market, the paucity of breakouts.
But we have a few, so let's celebrate them. First, with
taking out its 52-week high, we've got a legit breakout, a stock that's going somewhere it's never been. That's the excitement, the touchdown, the black jack of this game, and you don't have enough of those in the deck. If this were baseball, not stocks, they'd cork the bat and move in the left-center field wall to insure more home runs.
It isn't baseball, though, and Google's the best we have. That's courtesy of its accelerated revenue growth, that rarest-of-the-rare commodity. How tough is this game?
got ARG, too, but it isn't at breakout levels -- yet. Give it time, but it sure is taking long.
. Thing of beauty, that Whole Foods. Taking out its all-time high today, right now, as it sinks in that this company can put on several more years of this kind of growth and still not reach market saturation. Is it cheap? Who the heck cares?
Or how about
? We've got a new high going there, but hardly the all-time breakout we need. Still, its dominance in broadband communications gives it the growth other semis would kill for. Expensive it is, and, alas, it doesn't have the clear path that Whole Foods has. In fact, the betting is that this breakout will die on the vine.
And then there's
, which is right at the breakout point. It needs a point or 2 to take out that high. Will it get it? In many ways, this stock is the biggest question mark of all. Trades at 45 times earnings. But is that going to turn out to be high because the numbers are so great? We'll know this Thursday whether this company's going to deliver a number that so exceeds the consensus that it deserves the appellation "breakout." The brains inside the
iPod, the wizard within the
Digital Juke Box and most recently the
Xbox 360, Marvell's got the bloodlines to go all the way.
I say yes, it will.
More important, if it doesn't, the company's got enough cooking that if it doesn't break out this week, then it will next time around.
Still, the issue is, how can these be the only breakouts? How few ways there are to win. Alas, that's the reason we must be traders, not investors, here, with the trades not being as much in tech as in other, more depressed areas.
At the time of publication, Cramer was long Yahoo!.
James J. Cramer is a director and co-founder of TheStreet.com. He contributes daily market commentary for TheStreet.com's sites and serves as an adviser to the company's CEO. Outside contributing columnists for TheStreet.com and RealMoney.com, including Cramer, may, from time to time, write about stocks in which they have a position. In such cases, appropriate disclosure is made. To see his personal portfolio and find out what trades Cramer will make before he makes them, sign up for
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